Premiums are a form of reward or incentive for customers to purchase a product or service. Generally, a premium is a special item that is provided as an added attraction to encourage people to buy. There are many types of premiums, including premiums that are associated with specific brands, products or services and are distributed through specific sources or outlets. Premiums are typically provided to customers as a way of thanking them for their loyalty and as a gesture of appreciation. This can help to build customer relationships and create brand recognition by providing a physical or tangible reminder of the product or service. Additionally, premiums are a great way to provide customers with a physical representation of the quality of the product or service they are receiving, as well as to demonstrate the commitment the business has to providing a superior product or service. Lastly, premiums are a great way to create an effect of exclusivity and uniqueness to products or services. Customers have a sense of fulfillment and ownership when they receive something as an extra reward with their purchase, and this can create the perception that the product or service is more desirable and high quality. The premiums may also encourage customers to refer the business to their friends and family, increasing the chance of additional sales. All of this makes premiums an excellent marketing tool, rewarding customers while maintaining the brand's integrity.